- Court takes strict approach when interpreting deemed agreement provisions (Systems Pipework v Rotary Building Services)
- Original news
- What are the practical implications of this case?
- What was the background?
- What did the court decide?
- Case details
Construction analysis: The court rejected a contractor's argument that the sub-contractor’s failure to challenge its final account assessment meant that, under the terms of the sub-contract, the sub-contractor was deemed to have agreed with such assessment. Construing the relevant terms, the court held that the contractor was required to notify the sub-contractor of the ‘amount due for payment’, which it had not done—instead it had merely notified the value of the completed works.
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